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[Accidental Sale] Julio Entrusted His Automobile to Slick Sid's for Repair

Question 40

Multiple Choice

[Accidental Sale] Julio entrusted his automobile to Slick Sid's for repair. The manager of Slick Sid's, who did a very poor job with inventory, accidentally sold the car to Ramona. Ramona, who paid cash for the car, had no idea that the car did not belong to Slick Sid's and paid fair market value for it. When Julio went to pick up the car, he was very upset that it was gone. The manager of Slick Sid's told him that he was very sorry, but that his only recourse would be against Ramona.
-Ramona's rights to the car are best summarized by which of the following statements?


A) Ramona can keep the car only if the repair shop voluntarily agrees to pay Julio the fair market value of the car.
B) Ramona can keep the car without paying anyone anything only if the repair shop is bankrupt or insolvent.
C) Ramona can keep the car without paying anyone anything extra.
D) Ramona must give the car to Julio.
E) Ramona must return the car to the repair shop.

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